The National Energy Board has approved four more natural gas export licences applications for liquefied natural gas projects in B.C., bringing the total to seven.
There are roughly a dozen LNG projects proposed in B.C. Three export licences have previously been granted.
More recently, the NEB approved 25-year export licences to the following projects:
- Prince Rupert LNG Exports Ltd. (BG Group);
- Pacific NorthWest LNG Ltd. (PETRONAS);
- WCC LNG Ltd. (ExxonMobil Corporation/Imperial Oil Ltd.); and,
- Woodfibre LNG Export Pte. Ltd.
Issuance of the licences to export LNG is subject to the approval of the governor in council, the board noted.
Recent developments in gas production technology have resulted in a significant increase in the Canadian gas resource base and North American gas supply.
One of the major impacts of this increase is lower demand for Canadian gas in traditional gas markets in the United States and eastern Canada. As a result, the Canadian gas industry is seeking to access overseas gas markets through exports of LNG, the board noted.
"When evaluating LNG export licence applications, the board considers if the quantity of gas proposed to be exported is surplus to Canadian requirements, taking into account trends in the discovery of gas in Canada. Each application is assessed on its own merits," the NEB stated.
"The board determined that the quantity of gas proposed to be exported for each application will be surplus to Canadian requirements.
"The board is satisfied that the gas resource base in Canada, as well as North America, is large and can accommodate reasonably foreseeable Canadian demand, the LNG exports in these applications, and a potential increase in demand. The Canadian natural gas market will continue to respond appropriately to changes in supply and demand."
